Petrotal, a Calgary-based oil-and-gas producer, has reported an increase in its oil reserves and better-than-expected production numbers. According to the company, its year-end proven oil reserves, known as 1P reserves, rose by 6% to 48 million barrels. Additionally, its proven and probable reserves, referred to as 2P reserves, increased by 4% to 100 million barrels. As a result of these developments, the pretax net present value of the proven and probable reserves combined has seen a significant boost of 9%, amounting to $2.54 billion.
Furthermore, Petrotal’s total proved plus probable and possible reserves, known as 3P reserves, experienced a substantial increase of 19% to 199.6 million barrels. This growth can be attributed to the company’s successful drilling efforts and the strong natural aquifer support in the field, which allows for recovery factors exceeding 30%. President and Chief Executive Manuel Pablo Zuniga-Pflucker expressed confidence in their operations, describing them as “world class” and expected to generate significant free cash flow for the next two decades.
Petrotal primarily focuses on oil-and-gas assets in Peru. The company announced that its average production in January surpassed expectations, reaching 20,450 barrels per day.